People who bought units in an Ontario condominium development said they were shocked when the developer raised prices and demanded more money despite them having signed contracts.

“They want me to pay almost $280,000 more for the same unit. I’m just shocked. I mean I can’t afford it plain and simple because I’m retired right now,” Terri Ramsey of Mississauga, Ont. said.

Ramsey said she put a down payment on her Burlington condo unit in 2016, and has been waiting for it to be built. She then received a notification informing her that due to increasing construction costs, she would either have to pay more for her unit or take back her deposit and walk away from the unit.

Ramsey signed a contract and made a down payment to pay $385,000 for her unit, but she was recently told the price had changed to $663,990, which is $278,990 more.

Poonam Sharawat, of Mississauga, also put a down payment on a unit in the same development in 2018.

“I wanted to have a place for my retirement and have something where I’m not paying $3,000 for rent each month,” Sharawat told CTV News Toronto.

Sharawat signed a contract to purchase her unit for $435,900, and was told if she still wanted the unit she would have to pay $549,900 for it.

“I don’t have $120,000 more to give. When they told me about this I couldn’t sleep,” she said.

The condominium project is with ADI Developments. President and CEO Tariq Adi told CTV news Toronto that “unprecedented cost escalations” have left them with no choice but to ask for more money.

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